The Dine Corporation is both a producer and a user of brass couplings. The firm...
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The Dine Corporation is both a producer and a user of brass couplings. The firm operates 220 days a year and uses the couplings at a steady rate of 28600 per year. Couplings can be produced at a rate of 380 per day. Annual storage cost is $4 per coupling, and machine setup cost is $73 per run.
- What is the "daily" demand rate?
- How many units the company should produce in each production run?
- How many brass couplings are in the inventory when the firm stops the production in a given production run?
- How many production runs per year will there be?
- How often the firm starts the production? (in days)
- How many days in a cycle the firm is producing the products?
- How many days in a cycle the firm does not produce any product?
- How much is the total annual inventory related costs?
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